- Apple reports record revenue in India with strong year-over-year growth
- Middle-class consumers drive demand for premium smartphones in the country
- India becomes key manufacturing hub for Apple, reducing reliance on China
Oh, snap! Apple is just killing it in India right now. They've pulled in record revenue during the first quarter of the year, and CEO Tim Cook is all about that growth. In their earnings call, Cook bragged about Apple's "quarterly record" in India, with "very strong, double digits year-over-year" growth.
While Apple doesn't usually spill the tea on their sales figures in India, they did reveal that their total revenue was a whopping $94.84 billion in the fiscal second quarter. It's estimated that India makes up around 3% of Apple's total revenue, according to Gene Munster, managing partner at Deepwater Asset Management.
With India's smartphone market dominated by low-cost Android phones, Apple is making a move for those middle-class consumers who are willing to drop some serious cash on more expensive devices. In fact, smartphones priced above $400 now make up 10% of the total volume of handsets shipped, compared to 4% pre-pandemic.
Cook is super pumped about Apple's potential in India, saying: "There are a lot of people coming into the middle class, and I really feel that India is at a tipping point, and it's great to be there." And with India's population set to overtake China's, Apple has big plans for this growing market.
But it's not just about selling iPhones; Apple is also looking to make India a key manufacturing hub as they try to reduce their reliance on China. They even began assembling the iPhone 14 in India last year, making it the first time the company has produced its latest device in the country so close to its initial launch.
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